Looking for Business Insurance Coverage?

Why Manufacturing Firms Need Business Insurance

Whether your manufacturing business does forming, forging, casting, injecting or engraving, working with metals and plastics can be risky. Your work involves tools such as band saws, drill presses and forges which require years of experience to operate safely. Your business faces unique risks and that’s in addition to the typical issues most businesses deal with like property damage or losing important records and files. Learn about the coverages manufacturers like you typically need, and most often purchase, from The Hartford.

Business Owner’s Policy

Most fabricating and manufacturing businesses have a Business Owner’s Policy (BOP). Why? Because it protects your manufacturing business in much the same way a homeowner’s policy protects your home and personal possessions.

By combining three fundamental coverages that are essential to nearly every small business, a Business Owner’s Policy can save you money on insurance rates while safeguarding the manufacturing business you worked so hard to build.

General Liability – helps protect your manufacturing business from certain lawsuits alleging injuries or property damage that occurred as the result of your manufacturing business operations. For example, if a customer is injured by one of your machines in the manufacturing process at your workplace or an employee causes damage to a customer’s property, this insurance will help cover the legal fees. It even helps cover certain claims of slander and libel. Business Liability does not cover liabilities directly arising out of the professional services you may provide.

Commercial Property – helps protect the place where you do business and the tools you use to conduct your manufacturing business, like plastics injectors or molds – whether you own or lease them.

Business Income – helps cover the loss of income when you can’t run your manufacturing business because of covered property damage.

Manufacturing firms like yours often store information about employees, Manufactures often store information about their contractors and customers, including Social Security and credit/debit card numbers. Data Breach Coverage helps pay the costs of notifying impacted individuals such as customers and employees, managing public relations, good faith advertising, and more if personally identifiable information is lost or stolen.

Product Recall and Replacement coverage helps cover the costs to your manufacturing business associated with having to recall a product. For example, if you need to recall products because your business manufactures bottles and a load of bottles chipped during shipping, Product Recall and Replacement coverage may help cover the costs incurred by your business to perform the recall.

Imagine what may happen if an important vendor's property is damaged and they can't provide you with the products or supplies you need to run your manufacturing business. Business Income from Dependent Properties coverage helps pay for your lost business income when a major supplier or distributor suffers a loss and must close while their damaged property is being repaired or replaced.

Manufacturing businesses may face claims and lawsuits over issues such as wrongful termination, discrimination, workplace harassment or retaliation. For example, if your manufacturing business terminates an employee for perceived felonious behavior, but those felony charges are ultimately dismissed after a jury trial, that employee may take your business to court claiming false prosecution, defamation, libel and slander. EPL may help cover the legal costs associated with your business’s defense of claims like these.

Consider adding Tenant Legal Liability coverage if you are operating your manufacturing business on rented property. This liability option helps protect you in the event you are sued for causing damage at the premises you rent. For example, if you shut off the heat before leaving your rented property for an extended time and as a result, a pipe bursts, Tenant Legal Liability insurance may help cover the expenses your manufacturing business would incur to repair the damaged property.

It’s easy to increase your Business Owner’s Policy (BOP) protection at an affordable price with The Hartford’s Stretch® endorsements that bundle valuable key coverages. For fabricating and manufacturing, we offer:

Manufacturers Stretch

Super Stretch for Manufacturers

Super Stretch for Business Services

Contact an agent or a representative from The Hartford about these cost-effective solutions that help take the guesswork out of selecting the coverage needed to help protect your fabricating and manufacturing business.

Additional Solutions

If you have employees, use a car for work, or work from home, your manufacturing business may also benefit from:

Required by most states, workers’ compensation provides benefits to the employees of your fabricating and manufacturing business for work-related injuries or illnesses including medical care, wages from lost work time, and more. And if your employee’s family opts to sue you, this coverage can help you with related legal fees. Businesses have been turning to The Hartford for workers’ compensation insurance coverage for more than a century.

Do you use your car to meet customers, attend business conferences, or pick up tools or supplies such as mold injectors or machine parts for your business? A Business Auto Policy provides coverage generally not included in a personal auto policy. It can cover you – or an employee – when a personally owned vehicle, used for business purposes, is involved in an accident.

If you run your business out of your home, you probably want a Business Owner’s Policy (BOP). A Business Owner’s Policy provides coverage that is generally not available with a homeowner’s policy. Ask yourself, “Do I have customers coming to my home to pick up finished projects or go over project plans, provide services from my home, store inventory, or have employees working at my home?” If so, your agent or a representative from The Hartford can help you select the right coverage to protect your manufacturing business.

Certain coverages vary by state and may not be available to all businesses. All Hartford coverages and services described on this page may be offered by one or more of the property and casualty insurance company subsidiaries of The Hartford Financial Services Group, Inc. In TX, this insurance is written by Sentinel Insurance Company, Ltd., Hartford Casualty Insurance Company, Hartford Lloyd’s Insurance Company, Property and Casualty Insurance Company of Hartford, Hartford Underwriters Insurance Company, Twin City Fire Insurance Company, Hartford Accident and Indemnity Company and Hartford Fire Insurance Company. In CA by Sentinel Insurance Company, Ltd. (CA license # 8701) and its property and casualty insurance company affiliates, One Hartford Plaza, Hartford, CT 06155.

The Hartford® is The Hartford Financial Services Group, Inc. and its property and casualty subsidiaries, including issuing company, Hartford Fire Insurance Company. Its headquarters is in Hartford, CT.